What do you understand by "Holding out" under the Indian Partnership Act, 1932? Enumerate the circumstances under which the doctrine of "Holding out" is not applicable ?

'Holding Out' means "to represent". Strangers, who hold themselves out or represent themselves to be partners in a firm, whereby they induce others to give credit to the partnership are called "Partners by Holding Out". The law relating to partners by holding out is contained in Section 28 of the Indian Partnership Act, 1932 which lays down that "Anyone who by words, spoken or written or by conduct represents himself, or knowingly permits himself to be represented to be a partner in a firm, is liable as a partner in that firm to any one who has on the faith of any such representation given credit to the firm, whether the person representing himself or represented to be a partner does or does not know that the representation has reached the person so giving credit". Circumstances under which the doctrine of "Holding out" is not applicable: It does not apply to cases of torts committed by partners. A person, therefore, cannot be held liable for the torts of another simply because that other person held himself to be his partner. It does not extend to bind the estate of a deceased partner, where after a partner's death the business of the firm is continued in the old firm name. It also does not apply where the holding Out partner has been adjudicated insolvent.